Item 48

2 points

Time Remaining 2 hours 5 minutes 11 seconds

02:05:11

1

Item 48

Item 48 2 points

Time Remaining 2 hours 5 minutes 11 seconds

02:05:11

Collins Company reported consolidated revenue of $120,000,000 in 20X8. Collins operates in two geographic areas, domestic and Asia. The following information pertains to these two areas:

	Sales to External						Interarea Sales
	Customers						Between Affiliates
Domestic		$	70,000,000					$	12,000,000
Asia		$	50,000,000					$	8,000,000

What calculation below is correct to determine if the revenue test is satisfied for the Asian operations?

Multiple Choice

$58,000,000/$120,000,000

$50,000,000/$140,000,000

$58,000,000/$140,000,000

$50,000,000/$120,000,000